We have no leverage on China because we are a debtor Nation due to GWB.
This gives China the balls to threaten Taiwon.
China has the problem of trade, we the US consumer supply the money that allows them to weaken us to this debtor status.
They also have a vested interest in a strong dollar.
So they don't want to take this thing to far.
At this time a stalemate is our best hope.
The growing deficit may cause US to implode as our need for
additional equity increases and the resources of China demand more cash will not be available. Hello rising interest rates, snow ball effect tighter consumer good bye housing bubble, and if energy cost spike it will be back to Jimmy Carter days.
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